THE 2024 report of the Audit Office of Guyana has commended the government for its fiscal discipline and effective management of investments in housing, energy, and hinterland development during the year under review.

According to the report, capital expenditure for 2024 totalled $646.085 billion, which was $20.091 billion below the approved allocation of $666.175 billion.

The Audit Office noted that this shortfall resulted primarily from delays in project implementation.

Be that as it may, the Ministry of Finance, in its response captured in the report, explained that while capital expenditure was projected at $666.175 billion, the actual outturn of $646.085 billion represents 97 per cent of the approved budget. It said that the locally financed Public Investment

Programme (PSIP), driven by strong policy interventions, continued to

demonstrate robust performance compared to the portfolio of projects and

programmes supported by multilateral and bilateral development partners.

According to the ministry, “The outturn of the locally financed portfolio was

aided by an expansion in the work programmes of budget agencies, with

additional resources sought and approved in key areas including housing and water development, power generation, drainage and irrigation, community grounds, hinterland roads, and the upgrading of sea and river defences.”

As a result, the locally financed PSIP achieved an implementation rate of

110.3 per cent of the $501.777 billion allocated.

With respect to the foreign-funded portfolio, the ministry said it faced slower execution due to delays in the approval of project financing, and in completing prerequisite activities necessary to advance implementation.

These challenges contributed to an implementation rate of 56.3 per cent of

the $164.399 billion allocated.

In elaborating on the affected projects, the ministry cited the Water Supply Improvement Project under the Ministry of Housing and Water, where there were no disbursements made in 2024 due to a delay in financing approval, with the loan agreement only signed on April 4, 2025.

Similarly, the Human Capital Strengthening Programme under the Ministry of Education experienced delays in identifying schools to be rehabilitated or constructed, which affected the timely rollout of works.

The Education Recovery and Transformation Project, also under the

Ministry of Education, faced similar setbacks due to late identification of

schools earmarked for rehabilitation.

Under the Ministry of Public Works, the Transport Infrastructure Programme was hampered by delays in the completion and approval of design documents for a design-build project, resulting in a significant

shortfall in expenditure.

Meanwhile, the Soesdyke-Linden Highway Project, financed by the Islamic Development Bank, was delayed due to the late award of contracts, which were only finalised in July 2024. Two other major initiatives also faced financing and preparatory hurdles.

The Gas-to-Power Project, under the Office of the Prime Minister, recorded no expenditure in 2024 owing to the late approval of financing in December 2024. Likewise, the Housing Development Programme under the Ministry of Housing and Water was delayed because the planned mobilization advance for works could not be issued pending completion of a design

review consultancy.